HELOC on investment property?

Question

Any lenders do HELOCs on investment properties? I've googled and found maybe 2 banks that might do something like this. Does anyone have any tips or ideas on what to search or look for? Thanks!

Kyle Wheeler · Answer

Investor & Property Manager | St. Petersburg, FL

Good question—you're right, HELOCs on investment properties are definitely harder to come by than for primary residences, but they do exist.

Here are a few things I’ve learned from searching and working with clients:

What to Look For / Search Terms:

• “Investment property HELOC”
• “Rental property HELOC lenders”
• “Portfolio HELOC” (especially if you own multiple doors)
• “DSCR HELOC” (some private lenders will underwrite off rental income)

“Investment property HELOC”

“Rental property HELOC lenders”

“Portfolio HELOC” (especially if you own multiple doors)

“DSCR HELOC” (some private lenders will underwrite off rental income)

Also try searching for:

• Local credit unions – Some will do it case-by-case, especially if you bank with them already.
• Portfolio lenders – These lenders keep loans on their own books and can be more flexible.
• Smaller regional banks – Especially in landlord-friendly markets.

Local credit unions – Some will do it case-by-case, especially if you bank with them already.

Portfolio lenders – These lenders keep loans on their own books and can be more flexible.

Smaller regional banks – Especially in landlord-friendly markets.

Lenders to Explore:

• Figure.com – Sometimes offers HELOCs on investment properties in certain states.
• LendingOne and Kiavi – More focused on investors, might offer cash-out options or HELOC-like lines.
• First Citizens Bank – Has been mentioned by some investors for doing 2nd liens or HELOCs on rentals.

Figure.com – Sometimes offers HELOCs on investment properties in certain states.

LendingOne and Kiavi – More focused on investors, might offer cash-out options or HELOC-like lines.

First Citizens Bank – Has been mentioned by some investors for doing 2nd liens or HELOCs on rentals.

A Few Tips:

• Most lenders will require strong equity (25–30%), solid credit, and rental income history.
• HELOCs are often easier on 1–4 unit properties vs. commercial/multifamily.
• If HELOCs aren’t available, some investors use cash-out refis or even business lines of credit backed by rental income.

Most lenders will require strong equity (25–30%), solid credit, and rental income history.

HELOCs are often easier on 1–4 unit properties vs. commercial/multifamily.

If HELOCs aren’t available, some investors use cash-out refis or even business lines of credit backed by rental income.

Let me know if you want a sample script I’ve used when calling around to local banks—it helps weed out the “no”s faster.

Thanks, Kyle Wheeler

Joel Weiser · Answer

Hi Quang, I have options for Helocs on investment properties. Feel free to reach out anytime

LaMancha Sims · Answer

Hi Quang, I Think Your Best Option Would Be To Do An Cash-Out Refi If You Can't Find Any Lenders To Do A HELOC, Let’s Connect To Discuss Your Deal...

Jaypee Pau · Answer

Yeah, HELOCs on investment properties are trickier to find, but they are out there usually with stricter terms (lower LTVs, higher rates). Smaller local banks or credit unions sometimes offer them, and there are a few non-bank lenders that specialize in this too.

Try searching for "rental property HELOC" or "HELOC on non-owner-occupied" that'll bring up more targeted results. I know someone who's used one recently

Try searching for “rental property HELOC” or “HELOC on non-owner-occupied” that’ll bring up more targeted results. I know someone who’s used one recently

Quang Tran · Answer

@Joel Weiser thanks!

Quang Tran · Answer

@LaMancha Sims I will keep you as a backup. My current rate is 3% and am not needing the equity yet. But just wanting quick access if the right opportunity comes.

Quang Tran · Answer

@Kyle Wheeler thanks a bunch! Credit is very good and equity is at 60%. Ill keep digging.

HELOC on investment property?

HELOC on investment property?

Most Popular Reply

What to Look For / Search Terms:

Lenders to Explore:

A Few Tips:

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What to Look For / Search Terms:

Lenders to Explore:

A Few Tips: